The Fed is widely expected to raise interest rates again at the end of its two-day meeting on Wednesday but investors will be more focused on whether the central bank cuts its guidance on policy tightening in 2019.

“The markets are in a holding pattern until Thursday morning when we find out what’s happening with the U.S. Fed,” said Mathan Somasundaram, a Blue Ocean Equities market portfolio strategist.

He said while he expects some “bargain hunting” in afternoon trade to help markets pare losses, the benchmark is still likely to end in negative territory.

Wall Street’s major indexes all slid more than 2 percent on Monday, with the benchmark S&P 500 closing at its lowest in 14 months.

Financial stocks, which account for over a third of the benchmark index weight, led the losses.

Australia and New Zealand Banking Group and National Australia Bank dropped 2.3 percent and 1.4 percent, respectively, ahead of their annual general meetings on Wednesday which are likely to see shareholders vote against any executive remuneration plans in a year rocked by damaging revelations of misconduct in the sector.

Amid broader market weakness, gold stocks bucked the trend and were up 2 percent with the Wall Street selloff and the weaker U.S. dollar making the precious metal more attractive.

Shares of Fletcher Building jumped as much as 6.8 percent after the builder agreed to sell the Formica Group to Netherlands-based Broadview Holding BV for $840 million. It later trimmed those gains to a 3.5 percent rise.

For more individual stocks activity click on (Reporting by Nikhil Kurian Nainan in Bengaluru; Editing by Sam Holmes)